Business and consumers face a Shipping crisis the Covid 19 outbreak in southern China disrupts port services and delays deliveries in costs again. There was a critical shortage of containers due to the pandemic. Then came a massive blockage in the Suez Canal.The Chinese province of Guangdong has faced a sudden uptick in Covid-19 cases. Authorities have moved to shut down districts and businesses to prevent the virus from spreading rapidly.
According to analysts and those in the Shipping industry, that’s causing massive Shipping delays in major Chinese ports, and jacking up already-high costs as waiting times at berths skyrocketed.Brian Glick, founder and CEO at supply chain integration platform Chain.io, said that the disruptions in Shenzhen and Guangzhou are massive. Alone, they would have an unprecedented supply chain impact. However, combined with the challenges that the global supply chain has faced since this year, is in uncharted waters.
Then one of the largest container ships in the world, the Ever Given, got stuck in the Suez Canal and blocked the key trading route for nearly a week. Nearly 12% of global trade passes through the Suez Canal, where more than 50 ships a day on average pass through. The incident spurred a global Shipping crisis and held up $9 billion in international trade a day.